Federal Subsidized Direct Loans are guaranteed by the federal government and offered by the U.S. Department of Education. Eligible first-year undergraduate students may borrow up to $3,500; second-year students may borrow up to $4,500; and third- and fourth-year students may borrow up to $5,500 each academic year. Students must demonstrate financial need to receive a Federal Subsidized Direct Loan. Interest does not accrue while the student is in school, and repayment with interest does not begin until six months after the student graduates or ceases to be enrolled at least half-time. The interest rate is fixed and determined by the Department of Education every year on July 1st.
The Federal Unsubsidized Direct Loan is available to all eligible students, regardless of income, and has similar terms and conditions as the Federal Subsidized Direct Loan; however, students must pay the interest during in-school and deferment periods. Federal Unsubsidized Direct Loans may be obtained by independent or dependent students. These loans may be as much as $6,000 for undergraduate years 1 and 2, $7,000 for undergraduate years 3 through 5 and $12,000 for graduate and professional students. The interest rate is fixed and determined by the Department of Education every year on July 1st.
The Federal PLUS Direct Loan and Federal Graduate PLUS Direct Loan are federally guaranteed loans made to parents of dependent students and to graduate students. Parents of dependent students and graduate students may borrow up to the full cost of education, as determined by the Financial Aid Office, less other financial aid. The interest rate is fixed and determined by the Department of Education every year on July 1st. These loans are credit-based.
While the amount of aid may vary depending on financial need and availability of funding, loan awards for undergraduate and graduate students may be up to these annual maximums:
Undergraduate Maximum Aid Awards by Source
|Direct Loan - Subsidized||$5,500 /year|
|Direct Loan - Unsubsidized||$7,000 /year|
|PLUS Direct (Parent Loan)||*|
* Parents may borrow up to the student's cost of education minus other financial aid the student is offered. These loans are credit-based.
Graduate Maximum Aid Awards by Source
|Direct Loan - Unsubsidized||$20,500 /year|
|PLUS Direct (Graduate Loan)||*|
* Graduate students may borrow up to the student's cost of attendance minus other financial aid the student is offered. These loans are credit-based.
Online loan counseling is available at www.studentloans.gov .
John F. Kennedy University
Financial Aid Office
100 Ellinwood Way
Pleasant Hill, CA 94523